Transcript PPT
Voluntary Cancellation of CERs: a private sector perspective
LACCF Bogotá 2014 Isabela Aroeira | Offset Manager
DIFFERENT PERSPECTIVES ON CER’s VOLUNTARY CANCELLATION CDM Board
Possibility to create new demand for CDM offset credits
Brazil
Possibility to compensate big international events through public calls: Rio +20 FIFA World Cup
Private Sector
The action is aligned to the company values and beliefs: Brand name figuring among the “official CER’s Donors to offset GHG during the 2014 Soccer World Cup” Usage of the “Selo Sustentabilidade Baixo Carbono”
COMPLIANCE X VOLUNTARY CANCELLATION
• Higher volumes of transacted credits; • Prices determined according to credits supply and demand.
• Smaller quantities of credits are transacted; (Less than 0,5% of total
CDM issuance)
• Prices determined according to “co-benefits” delivered by project activities; • Process have to be fast, transparent and less bureaucratic.
CER’s VOLUNTARY CANCELLATION – NUMBERS 2 nd Q / 2014 VOLUNTARY CANCELLATION BY HOST PARTY (CERs/tCERs/lCERs)
2 nd BRAZIL (17%) 1 st CHINA (36%) 3 rd ARGENTINA (12%)
VOLUNTARY CANCELLATION BY PROJECT TYPE (CERs/tCERs/lCERs)
2 nd FUGITIVE EMISSIONS (10%) 1 st AFFORESTATION AND REFORESTATION (59%) 3 rd HYDRO (10%)
HOW TO CANCEL CER’s?
PARTNERSHIP AGREEMENT (MMA AND COMPANY) SEARCH FOR BRAZILIAN CER’s PRICE NEGOTIATION SMALLER DEMAND, HIGHER PRICES CANCELLATION BY PROJECT OWNER TEXT: PURPOSE/BENEFICIAR Y OF CANCELATION…
AMIGO DO CLIMA -
PROGRAM AND PREMISSES
• Selected high quality carbon credits; – Industrial gas offset projects and large hydro – questionable environmental integrity – tCERs – how can a temporary offset deliver permanent benefits?
• Possibility to combine carbon projects (different standards, project activities…) to compensate one action; • Traceable, transparent, auditable system.
www.amigodoclima.com
LESSONS
• Private sector demand faster and transparent operations; • The co-benefits of the project add value for voluntary compensation (SD Tool); • Voluntary cancellation initiatives are growing and have an important role on todays scenario, enhancing carbon transactions.
Isabela Aroeira | Offset Manager [email protected]
+55 (31) 8401-1766 +55 (31) 3401-1074